HARRIS COUNTY MUNICIPAL UTILITY }ISTRIC? NO. 367

}IARRIS COUNTY, TtrXAS

ANNUAL TINANCIAL REPORT

MARCH 3I,2019

McCALL CTBSON SWIDLI-]ND BARTOOT PLLCCertified Public Accauntarits

HARRIS COUI{TY MUi\ICIPAL UTILITY NISTRICT NO. 367

}IARRIS COUNTY, TEXAS

ANNUAL FINANCIAL REPORT

MARCII 31,2019

TASLE OF CONTENTS

INDEPEND;NT AIJDITOR'S REPORT

MANACEMENT'S DI SCUSSION AND ANALYSI S

BASIC FINANCIAL STATEMENTS

STATEMINT OF NET POS]TION AND GOVERNMENTAL FL]NOS BALANCSSHEET

RSCONCILIATION OF THE GOVERNMENTAL FLINDS BALANCS SHEET TOTHE STATEMENT OF NET ?OSITION

STATEMENT OF ACT]VITIES AN) GOVERhIMENTAL FUNDS STATEMENTRE,VENUE,S, SXPENDITURE,S A},]D CHANGES IN FUND BALANCES

RECONCILIATION OP THE OOVERNMENTAI- FUNDS STATEMENT OFREVENUES, EXPENDITURES AND CHANCES IN] FUND BALANCES TOTHE STATEMENT OF ACTIVITIES

NOTES TO THE FINANCIAL STATEMENT'S

REQ1J IRE} SUPPLEMENTARY INFORMATION

SCHEDULE OF REVENUES, EXPENDITURES AI\ID CHANOES IN FM.{}BALANCE - BUDCEI AN} ACTUAL. GENERAL FUND

SUPPLEMENTARY INFORMATION RSQUIRE) BY THE WATE,R DISTRICTFINANCIAL MANACEMENT CUIDE

NOTES REQUIRED 3Y THE WA?ER DISTRICT FINANCIALMANAOEMENT CUIDE (lncluded in the notes to the financial statements)

STRVICE,S AND RATES

GTNH,RAL FL]ND EXPENDITURES

INVESTMENTS

TAXES LEVIED AND RECEIVASLE

LONG.TERM DEBT SERVICE REQU]REME,NTS

CHANGE IN LONC.TERM BOND DEBT

COMPARA]]VE SCHEDULE OF REVENUES AN} EXPENDITURES CENERALFUND AND DEBT SERVICE FIJIIiD - FIVE YEARS

rAOE

1at-/.

3-'l

8-i l

12

13-14

:5

r 6-33

35

37-39

40-41

A1

43-44

45-49

50-5 I

52-55

BOARD MEMSERS, KgY PER.SONNEL AND CONSULTANTS 56-57

McCALt GIBSON SI /rDtLIIVn BARrOOrpttCCer t if e d P ubli t A c caux tnrts

731AA Wortlnm Ccnttr l)rizteSuitt 235

Hor;sftirt, T t::urs 7 7 065 -5 61 A

{713) 462-4341{at (713) 462-27fr8

E- Mail : tr t gsb@ r'tt g sblil c. ro w

9600 Grtil Hills'TmitSuite l50W

Austit, T'e ms 78759

{sl2) 610-2209z L; r tt to. m #bllJ-lJ!)!!

INDEPENDENT AUDITOR'S REPORT

Board of DirectorsHarris Ceiunty Municipal Utility District No. 367Harris County, Texas

We have audited the accompanying financial statements of the goverlmental activities and each maiorfur:d ol l-{arris County Municipal Utility Districl No. 367 (the "District"), as of and for tlre year erdedMarch 3l,2019, and lhe related notes to the financial statements, whiclr collectively comprise theDistrict's basic financial statements as lisled in the table of contents.

hlanagement's Resp*nsibilify for the Financial Statements

Management is responsible for the preparatior and fair presettation of these fitancial state:nents inaceordance wilh accounting principles generally accepted il the United Slates of Arnerica; this includesthe design, implemertatio:r, and maintenance of internal control relevant to the preparation and {birpresentation of financial statements that are free from material misstalenent, whether due to fraud orerror.

Auditor's Responsibility

Our responsibility is to express opiniols ol tlrese financial statements hased on our audit. We conductedour audit in accordance with auditing standards generally accepted in the United States of Arnerica.Those standards require that we plan and perform the audit to obtain reasonable assurar"Ice abor:t whetherthe financial statements are free from material misstatemenl.

An audit involves perfonning procedures to obtain audit evidence about the amoults and disclosures inthe financial statements. The procedures selected depend on the auditor's judgrnent, including theassessmett of tlre rishs of material misstatement of the financial statements, whether due to fraud or eror.In rnaking those risk assessments, the auditor corsiders internal control relevanl to the entity's preparationand fair presentatiou of the financial statements in order to design audit procedures that are appropriate inthe circumstances, but not for the purpose of expressing an opinion on the effectiveness of the District'sinternal control. Accordingly. we express no suclr opinion. An audit also includes evaluating theappropriateness of accounling policies used and the reasonableness of significant accounting estimatesrnade by managemefit, as well as evaluating the overall presentation of the financial stalements.

We believe thal the audit evidence we have obtained is sullcient and appropriate to provide a hasis forour audit opinions.

trlember olAmerican Insll/ule of Ce rti/ied Puhlic Acctsutrtants

Te x as Soc i e ly af C e rt i fie d ? u b I i c,4 c c ou nto nts

Bcard of DirectorsHanis County Municipal Utility District Nc" 367

0pinions

ln our opinion, the finar:cial statenrerts referred to above present fairly, in all r::aterial respects, therespective financiai position of the governmental activities and each rnajor fr:nd of the District as ofMarch 31, 2018, and the respective changes in financial position for the year then ended in accordancewith accou:rting principles generally accepted in the United States of America.

Other Matters

Required Supple m entary I nJbrmatian

Accounting principles generally accepted il the United States of America require thatthe Management'sDiscussior-r and Analysis and the Schedule of Revenues, Expenditures, and Changes in Fund Balance -tsudget and Actual * Ceneral Fund be presented to supplement the basic financial statements. Suchinfor:nation. although rot a patt of the basic financial slatements, is required by tlre CovernmentalAccounting Standards Board, who considers it to be an essential par-t of financial reporting far placing thebasic financial stateraents in an appropriate operational, economic, or historical context. We have appliedcertai:r limited procedures to the required supplementary information in accordance with auditingstandards generally accepted in the United States of America, which consisted of inquiries ofmanagemenl about the methods of preparing the infon:ration and comparing the information forconsistency with management's responses to our inquiries, the trasic financial slatements, and otherknowledge we obtained during our audit of the basic financial statemerts. We do not express an opinionor provide any assurance on tlre information because the limited procedures do not provide us withsufficient evidence to express an opinion or provide any assurar':ce.

Athey lnformatirtn

Our audit was conducted for the purpose of formir:g opinions or the financial stalements that collectivelycomprise the District's basic financial statements. The supplementary information required by the ?exasCommission on Environmental Quality as published in tlte Waler Districl Finuncial Manugement Guicleis presented fur purposes of additional analysis and is not a required part of ths basic firancial statements.Such informaliol is the responsibilify of management and was derived from ard relates directly t* theunderlying accourting ard other rscords used to prepare the basic financial slatemerts. Thesupplexentary information, excluding that portion marked "Unandited" on which we express no opinionor provide any assurance, has been subjected to tlre auditing procedures applied in the audit of the basic{inancial statements and cefiain additional procedures, ir:cluding comparing and reconciling suclrinfornration directly to the underlying accounting and other records used to prepare the basic financialstatements or to the basic firaucial slatements themselves, and oll"rer additional procedures in accordancewith auditing staudards generally accepted in the United States of America. In our opinion, iheinformation is fairly stated, in all material respects, in relation to the basic financial statements as a whole.

//tfr#*hs* S*t$dQtrtrlnMcCall Gibson Swedlund Barfoot PLLCCertifi ed Public AccountantsHouston, Texas

July 10, 2019

2

HARRIS COUNTY MUNICI?AL UTILITY DISTRICT 1\O. 367MAI\AGEMENT'S DISCUSSION AN]) ANALYSIS

rOR THE YEAR ENI}E} MARCH 31,2019

Management's discussion and analysis of Harris County Municipal Utility District No. 367's(the "District") Iinancial perlbrmance provides an overview of the District's financial activitiesfor the year ended March 31,2019. Please read it in conjunction w'ith the District's financialstatements.

USING THIS ANNUAL RTPORT

This annual report consists of a series of financial statements. The basic financial statementsinclude: (tr) cornbined fund financial statements and govemment-wide financial statements and(2) notes to the financial statements. The cornbined fund financial statements and government*wide financial statements combine both: (1) the Statement of Net Position and GovernmentalFunds Balance Sheet and (2) the Statement of Activities and Governmental Iunds Statement ofRevenues, Expenditr"rres and Changes in Fund Balances. This report also includes required andother supplernentary information in addition to the basic financial statements.

GOYXRNMENT-WI}{ 3INANCIAL STATEMENTS

The District's annual report includes two financial statements combining the government-widefinancial statements and the fund financial statements. The government-wide financialstatements provide both long-term and short-term information about the District's overall status.Financial reporling at this level uses a perspective similar to that found in the private sector withits basis in full accrual accr:unting and elimination or reclassification cf internal activities.

The Statement of Net Position inciudes all of the District's assets and liabilities. with thedifference reporled as net position. Over time, increases or decreases in net pasition may serveas a useful indicator of whether the financial position of the District as a whole is improving otdeteriorating. Evaluation af the overall health of the District would extend to ather non*financialfactors.

The Statement of Activities reporls how the )istrict's net position changed during the cumentyear. All curent year revenues and expenses are included regardless of when cash is received orpaid.

rUND TINANCIAL STATEMENTS

The combined statements also include fund finanqial statements. A fund is a grouping of relatedaccounts that is used to maintain control over resources that have been segregated for specificactivities or objectives. The District has three governmental fund types" The Ceneral Fundaccounts for resources not accounted for in another fund, customer service revenues, costs andgeneral expenditures. The Debt Service Fund accounts for ad valorem taxes and financialresoutces restricted, committed cr assigned for servicing bond debt and the cost of assessing andcollecting taxes" The Capital Projects Fund accounts for financial resources restricted,committed or assigned for acquisition or construction of facilities and related eosts.

-J*

HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 367MANAGEMUNT'S DISCUSSION AN} ANALYSIS

rOR THE YEAR ENDED MARCH 31, 2OT9

GOYERNMANT-WIDE 3INANCIAL ANALYSIS (Continued)

Summary of Chalges in the Statement olNet PositionChangePositive

(Negative)

Current arid Other AsselsCapital Assets (l',let of Accumulated

Depreciation)

Total Assets

$ 10.087,788 $ (567,460)

18,13s ,014 (478"864)

$ 28,222,802 $ 29.26e ,126

$ 18,025,56861 8.003

$ 20,275.580918 386

$ 18,643,57; $ 21 193 966 $ 2,550,395

201 q 20rI

$ 10,655,248

i 81613'82!.

Long -Terrn LiabilitiesOther Liabilities

Total Liabilities

Net Position:

Net lnvestment in Capital Assets

RestrictedUnrestricted

TotalNet Fosition

$ (1,287,902) $

3,677 .6865,685,376

1,658,800( 1 10,394)(44,335)

$ ( 1,046,324)

$ 2,250,01 2

300,383

8,075,160 $ t,504,07 I

$ 370,8983,56"1,2925,641,041

$ 9,579,231 $

The following table provides a summary of the District's operations for the years ended March31, 2019, and March 31, 2018. The District's net position increased by $1,504,071.

Summary of Changes in the Slaternent of ActivitiesChangePositive

(Negative)

Revenues:

Property TaxesCharges for ServicesOther Revenues

Total Revenues

Expenses for Services

Change in Net Position

Net losition, Beginning of Year

Net Position, Ilnd of Year

$ $ $

$

201 q 20i I

3,851 ,7982.511,416

4a1 Aa^/-ot-4)z

3,q 12.1 51

2,6A7,9631q3,s64

(60,363)(96,547)57.868

$ 5,624,646

5 l?o s7s

$ I ,504,071

8,075,160

$ 9"s?9,231

6,713,688

4,213,002

$ 2.s00,685

5.57 4,47 4

(89,042)

{907,573)

$$

(q96,615)

2.500,686

5

g____rguqq $ 1 ,504,071

HARRIS COUNTY MUNICIPAL UTILITY NISTRICT NO. 367MANAGtrMENT'S DISCUSSION A}{D ANALYSIS

FOR THE YEAR [,N}X,} MARCH 31,2019

LONG-TERM }UBT ACTIVITY

As of March 3i, 2019, the District had total bond debt payable of $17,615,000. The changes ir:the debt position of the )istrict during the year ended Mareh 31, 2019, are summarized as

follows:

Bo:rd Debt Payable, April 1, 2018

Less: Bond Principal Paid

Bond )ebt Payable, March 31,2019

$ 19,80$,000

2,1 85,000

$ r 7.61s,000

The )istrict's Series 2012 Refunding, Series 2013 Refunding and Series 2014 Refuneling bondscanT an underlying rating of "A" from Standard & Pcor's (S&P)" The District's Series 2015Park Bonds carry an underlying rating of "A1" from Moody's. The District's Series 2012Refunding Bonds have been assigned an S&P rating of "AA" by virtue af bond insurance issuedby Assured Guaranty. The District's Series 2013 Refunding, Series 2014 Refunding and Series

2015 Park Sonds have been assigned an S&P rating of "AA" by virtue of bond insurance issuedby Build America Mutual Assurance Ccmpany. Credit enhanced ratings provided through bondinsurance policies are subject to change based on the rating of the bond insurance company. Theabove ratings ars as of March 31, 2019. and reflect all rating changes of the bond insurersthrough the year then ended.

CONTACTING THE I}ISTRICT'S MANAGEMNNT

This financial report is designed to provide a general overview of the )istrict's finances.

Questicns concerning any of the information provided in this report or requests for additionalinformation should be addressed to Harris County Municipal utility District No. 367. c/o AllenBoone Humphries Robinson LLP, 3200 Southwest Freeway, Suite 2600, Houston, TX 77427.

7

CapitalProjects Fund Total Adustmer"rts

Staten"rent ofNet Fosition

$ 595

260,876$ 334.761 $

q,162,474

60.512

1fi\ 1'7)

7,619

{24,t75)

521,467

11t/ 613

334,76tr9,1s2.474

47,377

222,A95

145,1-12

521,467

$

92,93752,627

1,614

24,11541 71'7

?)? 0qs

60,5121,619

01 017

52,62',/

1,614

s47 I 7"61 3 547

$ 261,471 $ 10,104,344 $ I8,118,458 $ 28,222,802

The accompanying notes to the financialstatements are an integral pafi of this report.

-9-

Capital

Prcrjects Fund Total AdjustmeltsStatement r:fNet Position

$$ 19 $ 10q.913 $

45.3 B 1

(24,175)

2,210,000

109,913

45,381

215,4871 1,8t 9

2l 5,487I I .81924,175

1,031

234,3721,031

1,)+- 1 I 1,

15,815 ,s68

2,:10,000'I 5,815,568

$ 19 $ 596,797 $ 18.04 6,774 $... 1 8,643.571

$ -0- $60 512 $ (60,512) $ -0-

$ $ 222,095 $ {?22,095) $

261.452145,772

261,4523,563.201

500,00047q4515

t145,772){261,452)

(3,563,201)(s00,000)

{4, 794,515)

$ 261,452 $ 9,447,035 $ (9^447 ,03s) $ -0-

$ 261.47 r $ i 0,l 04,344

$ $ 370,8987 567 1Q)

5,64 r ,041

$ 9,579,231 $ 9,579,231

The accompanying notes to the flnancialstatements are an integral parl af this report.

370,8983,567,2925,64I ,041

- Il -

TXIS PAGE INTTNTIONALLY LETT BLANK

Capi:alProjects Fund Total Adjustmenls

Statemenl ofActivities

$ $ 3,8s6,558 $

887,834281"471

1,302,68533,091

6,58041,9',78

1 71 6qS

$ 3,851,798887,83428|.4"71

1,302,685t l-6+a6,580

41,978i 71 ,595

$,174)

t24s)

6.2734V '/59 4',l "159

$ 6.273 $ 6.62s,661 $ (s,01 s) $ 6,624.646

$$ 248,886582.469

1,474,145405.2s321,0:4

925,961

248,886582,469

1,474,14540s ?51

21,014Q1' q77

714,5631 :3,2801 20,1 97

$ $

-to/

66.568

i t 3,2801 20,1 97.'\A'\114

2,1 85,000578,450

7,0167 t 4.s6l

{242,714)

{2,: 8s,000)(70.6se) 541.791

$ 66,e43 $ 6.897,369 g tl,776,794) $ S, i 20,s75

$ (60.670) $ (267.708) $ r 771 779 $ 1 ,504,071

$ {s 1,678) $ -0- $ -0- $ -o-

$ (112,348) $ (:67,708) $ 267,708

I .504"0? 1

$

373,800 9.714,7 43 (r,639,583) I 07

: ,5S4,071

;60

$__:&7,qil $ r32.re6 $

- 14-

q {7q ?11

The accompanying notes to the financialstatements are an integral palt of this repcrt.

$ 261.452

HARRIS COUNTY MUNICIPAL UTILITY NISTR:CT NO.367NOTES TO THT INANCTAL STATEMENTS

MARCH 3I,2019

NOTE I. CREATION OT }ISTRICT

Harris County Municipal Utility District No. 367 af Ha:"ris County, Texas (the "District") wascreated effective August 11, 1997, by an Order of the Texas Commission on Environmental

Quality. Pursnant to the provisions of Chapters 49 and 54 of the Texas Water Code. the Districtis empowered tn purchase, operate and maintain all facilities. plants and improvements necessaryto provide water, sanitary sewer service, storm sew"er drainage. irrigation, solid waste collectionand disposal, including recycling, and to construct parks and recreational fucilities for theresidenls of the District. The District is also empowered to contract for and employ its ownpeace o{ficers with powers to make arrests and to establish, operate and maintain a firedepartment to per{trrm all fire-fighting activities with the District. The Board of }irectors heldits first meeting on August 11, 1997, and the first bonds were sold on March 3" 199q.

NOTE 2. SIGNIT:CANT ACCOUNTING POLICrc,S

The accompanying financial statements have been prepared in accordance with aecountingprinciples generally accepted in the United States of America as promulgated by theGovemmental Accounting Standards Board ("OASB"). In addition, the acccunting rece;rds ofthe District are maintained generally in accordance with the W{rfer District FinnnciulMcnugemenl Guide published by the Commission.

The District is a politieal subdivision of the State of Texas governed by an elected board. GASBhas established the criteria fi:r determining whether or not an entity is a primary govenlment ar accmponent unit of a prinrary government. The prirrlary criteria are that it has a separately electedgoverning body, it is legally separate, and it is fiscally independent of other state and localgoyernments. Under these criteria. the District is considered a primary government and is nct acomponent unit of any other government. Additionally, no other entities meet the criteria forinclusion in the District's financial statement as component units"

The District has eutered into an agreement with Haris County Municipal Utility Districl No. 383("District No. 383") for wastewater disposal through the regional wastewater treatment plant (the"Plant"). District No. 383 lras oversight responsibility over the ?lant. Additional disclosureconcerning this agreement is provided in Note 12. The Plant's financial information is includedin the financial stalements for )istrict No. 383. Copies of the financial statements can beobtained from the District's auditor.

The District has entered into an agreement with District No. 383 for water service through theDistrict No" 383 joint water plants. District l.{o. 383 has oversight over the three water plants.Additional disclosure concerning this agreement is provided in Note 1 1. The water plants'financial information is included in the financial statements lbr District No. 383. Copies of thefinancial statements can be oblained from the District's auditor.

-16-

HARRIS COUNTY MUNICITAL UTILITY }ISTRICT NO.367NOTtrS TO THE TINANCIAL STATEMTNTS

MARCH 31, 2019

NOTE 2. SICNffiICANT ACCOUNTING POLICffi,S (Cantinued)

$overnment-Wide Firlancial Statements (Continued)

The Statement of Activities is reported by adjusting the governmental fund types to reporl onlyitems related to current period revenues and expenditures. Items such as capital outlay areallocated cver their estimated useful lives as depreciation expense. Intemal activities betweengovernmental funds, if any, are eliminated to obtain net total revenues and expenses of thegovernmenl-wide Stalement of Activities.

Fund Financial Statements

As discussed above, the District's fund financial statements are combined with the government-wide statements" The fund statements include a Balance Sheet and Statement of Revenues.Expenditures and Changes in Fund Balances.

Governmental Fur:ds

The District has three govenrmental funds and considers each to be a maior fund

Oeneral Fund - To account far resources not required to be accounted for in another fund,custr:mer service revenues, costs and general expenditures.

Iebt Ser:,ice Fqnd - To account for ad valorem taxes and Jinancial rssources restricted,committed or assigned for seruicing bond debt aad the cost of assessing and collecting taxes.

Capital Prajects Fund - To account flor financial resources restricted, committed or assigned foracquisition or construetion of lbcilities and related costs.

Basis of Accounting

The District uses the modified accrual basis of accountiag for governmental fund types. Thernodified accrual basis r:f accounting recognizes revenues when both "measurable and available."Measurable means the amount can be determined. Available means collectable wilhin thecurrent period or soon enough thereafter to pay current liabilities. The District considers revenuereported in governr:rental funds to be available if they are ccllectable within 60 days afler yearend. Also, under the mr::dified accrual basis of accounting, expenditures are recorded when therelated fund liability is incurred, except for principal and interest r:n long-term debt, which arerecognized as expenditures when payment is due.

- 18 -

HARRIS COUNTY MUNICIPAL UTILITY }ISTRTCT NO.367NOTT,S TO THE TINAI{CIAL STATEMENTS

MARCH 31.2019

NOTE 2. SIGNIFICANT ACCOUNTINC POLICIES (Continued)

Budgeting

In compliance with governmental accounting principles, the Board of Directors annually adoptsan unappropriated budget for the General lrund. The budget was amended during the currentperiod.

Pensions

A pension plan has not been established. This District does not have employees, except that theIntemal Revenue Service has determined that directors are considered to be "employees" fcrlederal payroll tax purposes only.

Measurement Focus

Measurement focus is a telm used to describe u,hich transactions are recognized within thevarious financial statements. In the govemment-wide Statement of Net Position aad Statementof Activities, the governmental activities are presented using the economic resourcesmeasurement focus. The accaunting objectives of this measurement focus are the determinationof operating income, changes in net position. financial position, and cash flows. All assets andliabilities associaled with the activities are repo*ed. Fund equity is classified as net positian.

Governmental fund types are accounted for on a spelding or financial flow measurement focus"Accordingly, cnly current assets and current liabilities are included on the Balance Sheet, and thereported fund balances provide an indication of avaiiable spendable or apprCIpriable resources.Operating statements of governmental fund types repofi increases and decreases in availablespendable resources. Fund balances in governmental funds using the following hierarchy:

l{onspenda&le: amounts that camot be spent either because they are in nonspendab}e form orbecause they are legally or contractually required to be maintained intact.

Restricled: amounts that can be spent only for specific purposes because of constitutionalprovisions, or enabling legislation, or because of constraints that are imposed externally.

Cowmilted: amounts that can be spent oniy fcr purposf;s determined by a formal action of theBoard of Directors. The Board is the highest level of decision-making authority for the District.This actior: must be made no later than the end of the period. Commitments may be established,modified, or rescinded only through ordinances or resolutions approved by the Board. TheDistrict does not have anv committed fund balances.

20

HARRIS COUNTY MUNICIPAL UTILITY NISTRICT NO.367NOTES TO THE TINANCIAL STATEMI,NTS

MARCH 3I, 2019

NOTE 3. LONC-TERM DEBT (Continued)

RefundingSeries 2012

RefundingSeries 2013

Amount Outstanding - March 31,2019 $s.

Interest Rates

Matu:ity Dates * SeriallyBeginning/Ending

Interest Payment Dates

Callable Dates

Maturity Dates * SeriallyBeginning/Ending

Interest Payment Dates

3.50% - 4.00%

September 1,

2A$t2824

March 1 ISeptember 1

$ 1,320,000

2.04% - 3.00%

September 1,

TAWt2A24

March 1lSeptember I

000780

RefundingSeries 2014

Amount Outstanding - March 31,2019 $6,115,000

Interest Rates 2.AA% - 3.00%

September 1,2019* Septemberl,20l9*

Series 2015 Park

$4,400

2.25% - 3.25%

000

September 1,

2019n427

March 1lSeptember 1

September l,2A2512A34

March I /September I

*

Callable Dates September 1, 2021 * September 1 ,2024*

The Bonds are subjecl to redemption at the option of the District prior to their malurity inwhole or from tirne to lime in parl, on the call date or any date thereafter at a price of parvalue plus unpaid accrued interest from the most recent interest payment date to the datefixed lor redemption" Series 2014 Relunding term bonds due September 7,2A27, arcsubjected to mandatory redemption by lot or other customary method at a price of parplus accrued interest on September 1 in the years and amounts as reflected in the debtservice schedules.

22

HARRIS COUNTY MUNICIPAL UTILITY T}ISTRICT NO" 367NOTES TO THtr TINANCIAL STATXMINTS

MARCH 3I,2OI9

NOTE 4. SIGNIFICANT BOND RESOLUTION AN} LEGAL RNQUIRHMTNTS

A. All investments and any profits realized from or interest accruing on such investments shallbelong to the fund fiom w-hich the moneys for such investments wers taken; provided,however, that at the discretion of the Board of )irectors the profits realized fram and interestaccruing on investments made from any fund may be transfemed to the Debt Service Fund.

B. The Bond Resolutions state that the Districi is required by the Securities and ExchangeCommission to provide continuing disclosure of cerlain general financial infurmation andoperating data to each nationally recognized municipal securities information depository andthe state infbrmation depository. This information, along with the audited annual financialstatements. is to be provided rn'ithin six months after the end of each fiscal year and shallcontinue to be pravided through the life of the bonds.

NOTN 5. DEPOSITS AN} INVESTMEI{TS

Deposits

Custodial credit risk is the risk that, in the event af the failure of a depository financialinstitution. a govemment will not be able to recover deposits or will not be able to recovercollateral securities that are in the possession of an outside party. The District's deposit policyfor custodial credit risk requires compliance with the prr:visions of Texas statutes.

Texas statutes require that any cash balance in any fund shall, to the extent not insured by theFederal Deposit Insuranee Corporation or its successor, tre continuously secured by a validpledge to the District of securities eligible under the laws of Texas to secure the funds of theDistrict, having an aggregate market va1ue, including accrued interest, at all times equal to theuninsured cash balance in the fund to u,'hich such securities are pledged. As of March 31, 2019,the carrying amount of the District's deposits was $6,359,76i and the bank balance was$6,351,343. The District was not exposed to cuslodial credit risk at year-end.

The carrying values cf the deposits are included in the Governmental Funds Balance Sheet andthe Statement of Net Position at March 31,2019, as listed below:

CertificatesCash of Deposit Total

GENERAL FUN)}E3T SERVICE FLIND

CAPITAL PROJECTS FT]ND

TOTAL }EPOSITS

$ 156,97q

177,187

595

$ 334,761

$ 3,135,000

2,890,000

$ 6.02s

$ 3.291,97q

3,067,187

595

aA

.000 $ 5,35q,761

HARRIS COUNTY MUI\ICIPAL UTILITY USTRICT NO.3S7NOTES 7O T}IE TINANCIAL STATUMENTS

MARCH 3I,2OIg

I\OTI 5. DIPOSITS AND INVESTMENTS (Continued)

lnvestments (Continued)

As of March 31. 2019, the District had the following investments and maturities:

Fund and

Investrnenl Type Fair Value

Maturities nfLess Than

I Year

qI}LE&A1TUNDTexas CLASS

Certificates of Deposit

}EBT SERVICE TLNDTexas CLASS

Certificates of Deposit

$ 2,3 69,7 1 I3,135,000

s06.880

2.890,000

$ 2,369.? r I3. 1 3 5,000

s06,880

2,890.000

CAPITAL TROIECISIUNDTexas CLASS 260.876 260,876

TOTAL I}{VESTMENTS 59,162,474 $ e,l 62.474

Credit risk is the risk that the issuer or other counterpaffy to an investment will not fulfill itsabligations. At March 31,2019, the District's investments in Texas CLASS was rated "AAAm"by Standard & Poar's" The Sistrict also manages credit risk by typically investing in certificatesof deposit with balances below FDIC coverage.

Interest rate risk is the risk that changes in interest rates will adversely affect the fair value of aninvestment. The District considers the investment in Texas CLASS to have a maturity of lessthan one year due tc the fact the share position can usually be redeemed each day at thediscretion of the District, unless there has been a significant change in value. The District alsomanages interest rate risk by investing in certificates of deposit with maturities of less than oneyear.

Restrictions

All cash and investments of the Debt Serrrice Fund are restricted {brthe payrnent r:f debt serviceand the cost of assessing and collecting taxes. All cash and investments of the Capital FrojectsFund are restricted for the purchase r:f capital assets.

-26-

HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO.367NOTES TO THE TINANCIAL STATTMENTS

MARCH 31,2019

NOTT,8. XMtrRGINCY WATER SUPPLY CONTRACT

On September 15, 1997, the )istrict executed an Emergency Water Supply Contract with HarrisCounty Water Control and lmprovement DistrictNo. 119 (District No. 119). The agreementprovides for water to be supplied on an emergency basis for up to 30 days. An emergency isdefined as a sitr.ratir:rn whereby a pafiicipant w'ould lose 507o or more af the individual District'sproductive capacity. The )istrict was responsible for the cost of conslructing the interccnnect.The cost of water to both parties is $0.85 per 1,000 gailons of "average daily usage"; the contractspells out the definition of average daily usage. This agreement was amended May 10,2000, toinclude a provision for allocating the costs incurred as a result of the fees being paid to the newlyformed regional water authority. The term of the contract is 40 years.

On October 15, 2007, the Second Amendment to Emergency Water Supply Conlract was enteredinto" In accordance with the amendment, District No. 383 was added as a pafty to the cnntract"The an:ended agreement called for the )istrict and District No. 383 1o design and install a newtwo-way flow meter at the point of interconnect. On April 14, 2008, the Third Amendment toEmergency Water Supply Contract was approved. District No" 119 agreed to supply water to the)istrict and District No. 383 on aR interim basis until such time as the waterline connecting tothe North Harris County Regional Water Authority (the "Authority") water facilities to waterplant no. 1 *'as completed and declared operational, thus defining the interim period. Theinterim period has passed and the District is now receiving surface water from the Authority, as

funher described in Note 10"

NOTtr 9. OUT.OT-}ISTRICT WATER STRYICE

On March 15. 1999, and as amended on Nervember 3, 1999, .Iune 7. 2000, and July 13, 2011. theDistrict entered intr: a contract with Oleannloch Farms Community Association, Inc. (the"Association"). The District has agreed to provide aut-of-District u,ater service to a tract of landowned by properly owners and the Association who develcped the tract of land for estate lots.The Distriel alsa agreed to provide water and wastewater services to the Equestrian Center and toprovide garbage collection service to the tract of land. In additian, the agreement restricts theuse of private water *-e1ls and clarifies the conditions ulder which private water wells may beconstructed and operated on lots within the tract. The term of the contract is 50 years. On June8,2010, the District entered into a separate senrice agreement with the Association to providewater service to certain recreational facilities lacated outside the District.

NOTE 10. NORTH }IARRIS COUNTY REGIONAL WATER AUTXOR:TY

The District is located within the boundaries of the North Harris County Regional WaterAuthority (the "Authority"). The Authority was created under Article 16, Section 59 of theTexas Constitution by House Bill 2965 (the "Act"), as passed by the Seventy-Fifth TexasLegislature, in 199q. The Act empowers the Authority to provide for the conservation,preservation, protection, recharge and prevention of waste of groundwater, and flor the reduction

28

HARRIS COUNTY MUNIC:PAL UTILITY I}ISTRICT NO.367NOTES TO THE FINANCIAT STATEMXNTS

MARCH 3I,2OI9

NOTE TO- NORTH HARRIS COUNTY REGIONAL WATER AUTHORITY(Continued)

The cur"rent fee under the Agreement and the Interlocal Agreement is $3.85 per 1,000 gallons ofwater delivered. On April i. 2019, the fee increased to $4.30 per 1,000 gallans of waterdelivered. During the year ended March 31,2019, the Joint Water Plant recorded expendituresof $1,885,300 related to the Agreement and the lnterlocal Agreement. The District'sexpenditures related tc the Agreement and the Inlerlocal Agreement are included in purchasedwater.

NOTX, 1I. WATER SUP?LY AGREE,MEI\T

On July 10, 2002, the District and Harris County Municipal Utility District No. 383 ("DistrictNo. 383") agreed to combine the District's and District No. 383's water systems tc become anintegrated water system. On October 9" 2AA7, the First Amendment to this agreement wasentered intc. On April 8,2015, the Second Amendment to this agreement was entered into.District No" 383 owns 54"51a/o af the capacity in water plant ncs. 1, 2 and 3. The District ownsthe remaining 45.49%" District No. 383 performs the acccunting for the integrated system and isresponsible for operaling the water plants. Each district is billed based upon their proportionateshare of the prior month's usage of water. The District has recorded an advance for an operatingreserye in the amount of $222,095" During the year ended March 31, 2019, the District recordedan expenditure af $1,474,145 in accordance with this agreement.

Summary financial activities of the plants as of March 31,2019, and for the year then ended areas follows:

Total AssetsTotal Liabilities

Total Fund Balance

TotaiRevenuesTotal Expenditures

Net Change in Fund Balance

Increase in Reserve

Fund Balance * April l. 2018

Fund Balance * March 31. 2019

$ 656,084I67.8s5

$____,188;29

$ 2,567,8962.557.896

-0-

58,510

42q.719

$

30

$:::Je&?29

}IARRIS COUNTY MUNICIPAL UTILITY I}ISTRICT NO. 367]\OTES TO THE FINANCIAL STATtrMENTS

MARCH 3I,2OI9

NOTE 14. MASTER COST SHAR]NG AGRINMENT

On May 13, 2008, and as amended on August 1 l, 2009. May 9, 2012, Deeember I 1, 2013. June14, 2017, and November 14,2018, the District entered into the Master Cost Sharing Agreementwith District No. 383. This agreement was entered into to consolidate a series of prior costsharing agreements between the districts into one formalized agreement. The costs for a1l iointfacilities will now be shared based on the allocalions outlined in this agreement excluding thewater plants and wastewater plant. See Notes I i and I2.

NOTI :5. STRATtrGIC PARTNIRSHIP AGRE,NMTNT

Elfective June 5, 2014, the District entered into a Strategic Partnership Agreement with the Cityof Houston. Texas (the "City"). The agreement provides that in accordance with Subchapter F ofChapter 43 of the Local Oovernment Code and the Act, the City shall annex a tract or tracts ofland for the limited purposes of applying the City's Planning, Zoning, Health, and SafetyOrdinances within the Tract within the bou:rdaries of the District. The District will continue todevelop, own, operate, and maintain a watel, wastewater, and drainage system in the District.

All taxable property within the District shall not be liable for any present ol future debts of theCity, and current and future taxes levied by the City shall not be levied on taxable propertyu'ithin the District. The Distrist retains all rights to assess and levy ad valorem taxes on taxablepropefiy within the Tract. Upon the limited purpose annexation of the Tract, the City'srnunicipal coutls shall have jurisdiction to adjudicale criminal cases filed under the Planning.Zoning, Health and Safbty Ordinances and State laws. Provisions of the Regulatory Planadopted by the City will be applicable to the )istrict and the Tract of land within the District.The District's assets, liabilities, indebtedness, and cbligations will remain the responsibility ofthe District during the period of this agreement.

After the Tract is annexed for limited purposes by the City, the qualified voters of the Tract mayvote in City elections pursuant to Local Government Code. The City is responsible for notifyingthe voters within the Tract.

The City shall impose a Sales and Use Tax u,ithin the boundaries of the Tract upon the lirnited-purpose annexation of the Tract. The Sales and Use Tax shall be imposed on the receipts fromthe sale and use at retail of taxable items at the rate of one percent or the rate specified under thefuture amenelments to Chapter 321 of the Tax Code. The City agreed 1o pay to the District anamount equal to one-half of all Sales and Use Tax revenues generated within the boundaries ofthe Tract. The City agreed to deliver to the )istrict its share af the sales tax receipts with 30days of the City receiving the funds from the State Comptroller's office.

- -71-

HARRIS COUNTY MUNICIPAL UTILITY NISTRICT NO.367

REQUIRED SUP?LTMENTARY INTORMATION

MARCH 31,2019

HARRIS COUNTY MUNICIPAL UTILITY I}ISTRICT NO.367SCHTDULT, OT REVENUES, EXPENI}ITURES AND

CHANCES I]Y TUND BALANCX, - BU}GIT ANN ACTUAL - GTNERAL TUNDrOR THg YEAR ENI}ED MARCH 31,2019

Original

Budget

FinalAmended

Budget Actual

Variance

Positive(Negative)

REVENUESProperty Taxes

Water Service

Wastewater Service

Regional Water Authority Fee

Pelalty and lnterest

Tap Connection and lnspection Fees

Sales Tax Revenues

Investment Revenues

Miscellaneous Revenues

TOTAL REVENUf,S

EXPENDITURESServices Operations:

Professional Fees

Contracted Services

Purchased Waler Serr ice

Purchased Wastewater Service

uliliriesRepairs and Maintenance

Contribution to Harris Countv

OtherCapitalOutlay

TOTAL f,XPENDITURES

$ 1,23 8,527

1,082,000

295,000

1,203,211

3 8,000

69,000

34,000

12,300

28,400

$ 1,191,36:

1,082,000

295.000

1 "?03,2 i i

38,000

69,000

34,000

i 2,300

28.400

$ I ,20:,800887,834

281,471

1,302,685

,7,5426,580

41,s78

I 10,300

47 /J:

$ I0,43e

{194,r56)(r 3,529)

9q,474(20,458)

t62,420)7,9V&

98,000to 11)

$ (-ss,35o)$ 4,000.438 $ 1 qsl 111 $ 3,897,922

$ 181,000

499,000I 11' s71

423,086

22,000

440.250

35,000

1 94,1 00

i,500.000

$ I 81,{i00

488,000I 1?) 571

423,086

22,000

440.250

35,000

1 s4,1 00

1,500,000

$ 24s,281{ IS ?7{

1,474.145

405"253

2 I ,014q?5 q6t

113,280M (<I

(64,281)

t27,275)( r 41 ,s72)

17,833

986

(48s,7 r l )(78,280)

78,549

I ,323,854

$

1',t6 146

EXCf,SS {DATTCTXNCY) OF REVENUESovER nxPsNDlTURf,S $ (615,571)

$ 4,616,009 $ 4.61 6.00e s 3.q9 t.q06

$ {662 ,737) $ (93,C84)

q_ 624,103

$ 568,753

oTHf,R FTNANCTNC S0URCES(USES)Tralslers In $ -0- $ -0- $ s1,678 $ 5:,678

Nf,T CHANGE rN FUND BALANCf, $ (6i5,571) $ (662,137) $ {42,306) $ 620,43i

rUN} BALANCE. APRIL I,2OI8 5,664,688 5,664.688 5,664,688

FUN} BALANCX - MARCH 3I,2OI9 $ s.049 .t t7 $ 5,001,95t $ 5,622,382 $ 620,431

See accompanying independent auditor's report"

-35-

HARRIS COUIYTY MUI\ICIPAL UTILITY DISTRICT NO. 367

stip?LEMENTARy INTORMATTON RTQUmED By TIIE

WATER }ISTRICT FINANCIAL MANAGEMENT GUI}E

MARCH 3I,2OI9

HARRIS COUNTY MUNICIPAL UTILITY DISTRTCT NO.367SERVICTS AND RATES

FOR THT Yf,AR EN}EI} MARCX 31,2019

1. SERVICI,S PROVI}ED BY THE }ISTRICT I}URING THE Y[AK:

XX

Xx

X

RETAIL SX,RVICE PROYI}IRS

a. RETAIL RATES FOR A314" METER (OR EQUIVALEIYT):

Based on the rate o:der approved September 12, 2018.

Retail Water _ Wliolesale Water X DrainageRetail Wastew&ter Wholesale Wastewater lrrigationParks/Recrealion Fire Protection Securitv

Parricipales in joint venture- regional svslern andior \\asle\^ater" se*ice lolher lharremergelcy interconnect)

Otl'rer (specify)

,,

MinimumCharge

MinimumUsage

Rate per 1,000Callons over

Minimum Use Usage Levels

FlatRateY,N

WATER: $ r 3.75

WASTEWATER: $ 10.50

SURCHARCE:Solid Wastel

Carbage*Comnission

RegulatoryAssessments*

Regior':al WaterAuthority Fee

Other (Name)

L000 $ 0.80

$ 1.30

$ 2.80

$ 3.80

N

Y

1,001 to t0.00010.001 to 20,00020,001 to 30,000

30,001 and up

0,001 and up

District employs winter averaging for wastewater usage? XY.r N"

Total monthly charges per 10,000 gallons usage; Water: $20.95 Wastewater: $ 10.50 Surcharge: $38.50 Tntal: $69.95

* Charges above include solid waste disposal and regulatory assessments.

See accompanying independent auditor's repoft.

-37-

N $ 3.8s

HARRIS COUNTY MUNICIPAL UTILITY I}ISTRICT NO.367SERVICES AND RATf,S

FOR T}IE YAAR EN}E} MARCH 31,2OI9

4. STANIBY fEtrS (authorized only under TWC Section 49.231)

Does the District have Debt Se:-:rice standbv fees?

Does the District have Operation and Maintenance standby &es?

LOCATION OT I}ISTRICT:

Is the District iocated entirely within one county?

Yes X No

County or Counties in which District is located:

Harris County, Texas

Is the )istrict localed within a citv?

Entirely Partly Not at all

ls the District located within a city's extra territorial jurisdiction (ETJ)?

Yes

Yes NoX

YoN

5.

x

Ilntirely X Partly Nat at all

ETJ's in which District is located:

City of Houston, Texas

Are Board Members appointed by au office outside the District?

Nci

See accompanying independent auditor's repoft

-39-

XYes

HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO.367GENERAL TUND EXPENDITURES

rOR TTIE YAAR TNNTD MARCII3I, 2019

CO}\iTRIBUTION TO HARRIS COUNTY 280

CAPITAL OUTLAY $ 176,146

SOLID WASTB DISPOSAL $ 394.103

$ 113

OTHER EXPSN}ITURSS:Laboratory Fees

Permit Fees

Reconlection Fees

Inspection Fees

Regulatory Assessrnent

TOTAL OTHER EXPENDITU RES

TOTAL EXPENDITURES

$ 1 1,716

5,52018,590

8765

qd?708

410

$ 3,991,906

See accompanying independent auditor's report.

-41 -

HARRIS COUNTY MUNICITAL UTILITY }ISTRICT I{O.367TAXNS LTVM} ANl) RECEIVABLE

rOR THE YHAR [,N[}EN MARCH 31,2OI9

Maintenance Taxes Debt Service ?axes

TAXES RECEIVABLE -

ApRrL 1.2018

Adj ustrnents to Beginn ing

Salance

Original 201 I Tax LeryAdjustrnent to 20i B Tax Levy

TOTAL TO BH,

ACCOUNTED FOR

TAX COLL;CTIONSPrior Years

Current Year

TAXES RECE1VABLE -

MARCH 3I,2OIq

TAXES RE,CEIVABLE BYYEAR:20rI2417

20r62015

2414

201 3

2012

20t t201 0

200q

2008

$ 20,688

t2,769) $ 17,91q

$ 1,1 78,117)L l)1, 1,202,540

$ 1,220"459

$ 15,930

1,18s .870 l,?01,80t)

$ 18.6s9

!__*__!L€iz

See accompanying independent auditor's repor|

-43_

(6,220) $ 38,374

$ 44,594

$ 2,604,258

53 989 2.658"247

$ 2.696,521

$a l 1aA1\ \ 1/

2,621,396 2,654,768

$41 853

$$ 16,670

1,2591'7L

11?

76

39

149

4qtttl

1l10

36,851

2.643

6igaal

171

142

721

269

53

54

57

TOTAL $ 41,$53

HARRTS COUNTY MUNICIPAL UTILITY DISTRICT NO.367LONG.TERM }EBT SERVICE REQUIRTMTNTS

MARCH 31,2019

SERIES.2Ol2 RgFUNDINC

Due During Fiscal

Years E,nding

March 3l

Principal

Due

September I

Interest Due

September l/March I Total

2$20

?421

2422

2423

2424

2A25

2026

2027

:0282A2q

?030

203 I

2432

2433

20342035

$$

$ 5,780,000 $

$

710.512 $ 6,490,5 12

915,000

925,000

940,000

955,000

965,000

1,080,000

210,612

1 76"i 00

13 8.800

100,900

62,500

2l .600

I,125,51 2

1 ,1 01 ,1001,o7g,goo

1,055,900

1,027,500

1 ,101,600

See accompanying independent auditor's repofi.

-45-

HARRIS COUNTY MUI{ICIPAL UTILITY DISTRICT NO.367LONG,TTRM nEBT STRVICE REQUIREMUNTS

MARCH 31, 2OI9

SERIES-2014 RETUN}:NC

Due During Fiscal

Years Ending

March 3l

Principal

Due

September I

Interest Due

Septernber I IMarch 1 Total

2020

2021

2A22

2423

2424

2B2s

20262A?7

2028

2429

2030

203 I

?03?

:03320342035

$$ 1,065,000

1,095,000

I,i i 0,000

1 ,125,0001,150,000

1s0.000

145,000

140.000

r 3 5.000

142.515

I 15,650

92,213

65,662

34,350

14,850

10,425

6,1 50

2.025

$ 1,247 ,57 5

1,2 i 0,650

1,202,213

1,190,662

I ,l 84,350

164,850

I S5 4?5

146,150

137,025

$ 6,l 15 000 $ 483,900 $ 6,598,900

See accompanying independent auditor's report"

-47 -

HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO.367LONG-TERM DEBT SERVICE RtrQI.]IREMTNTS

MARCH 31,2019

ANNUAL REQUIREMTNTSFOR ALL SERITS

Due During Fiscal

Years Ending

March 31

Total

PrincipalDueTotal

Interest Due

Total

Principal

Interest Due

2024

2021

2472

2423

2*24

2425

2*26

2421

2028

2{}29

2030

203 1

2A32

2033

?034203s

$ 2,210,000

2,250,000

2,274.404

2,295,000

2,330,000

1,440,000

585,000

580.000

575,000

440,000

440,000

440,000

440,000

440,000

440,000440.000

$ 510,287

443,1 00

375.613

304,63 7

228,475

t 61,700

12',7 ,57 5

1 13,125

98,275

84,q75

73, I 50

60,775

47,850

3r1,6501t r?<

7,1 50

2,720,281

2,693,:002,645,61 3

2,599,637

2,558,475

1,601,700111 <1 <

6q3,1 25

673.215\)Lq7\513,150

500,775

487,850

474.650

461.17 5

447 r50

$

$ 17 615 000 $ 2,692,512 $ 20.3 A7 ,512

Sre accompanying lndependent auditor's repo$.

-4q-

Current Year Transactions

Boncls Sold Prir:rcipal

Retirements BondsOutstandingMarch 31,

2019Interest

$ -0-

910,000 242.550 5,780,000

235,000 39,650 1,320,000

I,040,000 I 74.i 50 6,1 15,00{)

122 10t) 4 400 000

$ 2, I 85,000 $ 578 454 $ i 7,61 5,000

The Bank of New YorkMellon Trust Company, N.A.

The Bank of New YorkMellon Trust Company, N.A

The Bank of New YorkMellon Trust Company, N.A

The Sank of New YorkMellan Trust Compan3,, N.A

Debt Service Fund cash arid investmert balances as ofMarch3l,2019: $ 3,574,067

Average annual debt service paymeni (principal and interest) for rernaining term

ofall debt: $ 1 ,269,22A

See accompanying independent auditor's repofi.

- 51 -

Fercentage of Total Reverue

201 6 201 5 20:9 20i 8 2017 2416 201 5

$q1,167,545

950,506276,357

34,'l2860.47527,q54

q22.398

16,3l525,088 394 865

32.4 %23.6

7.1

0.8t-/

0.9

32.01.2

4"7

4.7 %12.1

36.58"6

0.sq.6

x.a %25.9

7.9

0.81/.

0.928.q

U.t)

t).6

4.q %13.6

Jl.b9.q0.69.3

33.6 %

"/.9

t.01.',r

0.8

26.s0.50.7

5.4 %13.9

30"5

7.q

0.6

9.6

5.1

31 .6

30.s %1A A

7.2

0.8

0.4

0.4

25.60.3

t 0.4

I ,1 53,1 52

922,846271,q2230,4891 5,1 45

13,941

967,96'lI 1,280

30.8 %22.&

7.2

0.5

4.2

1.1

33 "42.81.2

$ 3.481,366 $ 3 781.s07

1 97,1 90477,137

1,08q,813

241.48719,242

339,928

131,q95

89.356

O-l Yo

I i../.

3 7.8

10.4

0.5

23.82.93.04.5

5.2 %12.6

28.86.4

0.5

9.0

i00.0 % 100.0 % 100.0 % 100.0 % i00.0 %

$ 1 89,144485,3 7',l

i,06?,807?75 qqq

21.708335,465

$

178.s38I,099,290

{88,65q) $

4,4q8,095

4.1

9.34.66.1

3.51A

$ 3,648,322 $ 2 58s '748 142.4 % 83.4 % 81.6 % 104.6 % 68.4 %

$ (r66,q56) $ 1 195 759 _ % _)3.6 % .-l_t4 % *_l*o% *__])$ %

$

$ 78,2q7 $ 128 69t

1,324,450

I ?aI t.) 645

See acconrpanying independent auditor's report.

-53-

-)

$ 4,498,0es$ 4,40S,435

Percentage of Total Revenue

?016 201 5 201 9 201 I 201 7 20r 6 201 5

$ 2,840,78511 '7 A\

8,50028

$ 2,625"06q1 7"581

7,466160

97.4 %0.6

2.4

98.4 %4.7

0.9

2.6 %'7q.9

98.3 %1_2

0.5

2.8 %77.7?4.5

9q.1 %0.6

0.3

99.0 %0.70.3

$ 2,867,0s8 $ 2,650,276 100.0 % 100.0 % 100.0 % i00.0 % 100.0 %

$ 2.7 %80.221"3

2.6 %75.0

^1-1. t

$ /1 t41

2.150.00053 8.089

211,141I ,41 5,000

61i,619

8.0 %53.41, 1.t

I 1.3

$ ?.861,23? $ 2

2q9 065

537 ,14 < 104.2 % 105.9 % lS5.$ % q9"9 % q5.8 %

$ 5 826 $ 112,851

$ 12:,100 $ q,265,000

(q,191,45 I )226_148

100 $ 299.697$ 122

$ 127.S26 $ 412,548

3,85S,565

$ 3.978,4S1 $ 3,850"565

2,27?

3,438.0tr 7

1'\AAL.pla

See accompanying independent auditor's report.

- 55 -

_***__a_lit

HARRIS COUNTY MUNICIPAL UTILITY DISTRTCT NO.3S7BOAR} MEMBf,RS, KEY PERSOI{NUL AN} CONSULTANTS

MARCH 31,2019

Fees for theyear ended

Consultants:

Allen Boone Hurnphries Rr:binson LLP

McCall Gibson Swedlund Barfoot PLLC

Mur::icipal Accounts & Consulting, L.P.

Perdue, Brandon, Fielder, Collins & Mott. LP

Costello, lnc.

Masterson Advisors LLC

Mark Bu(on and Ghia Lewis

Municipal Operatioas & Consulting

Tax Tech, Ins.

Date Hired Marcl 31 20i I

14S,765

16,000

3 5,285

3.605

a) q)l

-0-

-0-

$ 291,1 r8

q 17 qtl

Title

a7 t26t03

0810st98

03102105

03104t98

08t1 1197

05/09/1 I

a2101106

1 0/1 9/1 2

01108108

$

$

$

$

0eneral Counsel

Auditor

Bookkeeper

DelinquentTax Attorney

Engineer

FinancialAdvisor

InvestmentOfficers

Operatar

TaxAssessorlCollector

$

$

$

See accompanying lndependent auditor's repo*.

-51 -